Dr. Alan O'Sullivan

And what he considers a leader is not what people think.

So, for example, our view of a leader might be, you know, coming in, banging the table, giving orders.

His definition of a leader is actually someone who does a lot of listening, says very little, and has this quite confidence approach.

So I found that interesting.

What's a fat tail?

Okay.

A fat tail.

So when we talked about... It's T-A-I-L instead.

Yeah.

Okay.

So when we talked about averages or we talked, you know, if people go back to their, you know, elementary or primary school maths, they will learn that...

there's this normal distribution or this bell curve of distributions.

So the best way to explain it would be if we were to look at the average score or the average height of a student in first year in university.

You know, you're going to have somebody that's five foot nothing and you're going to have somebody that's six foot six.

But on average, it's going to be five foot eight, five foot nine.

So most of the volume being around the average.

That makes sense, OK?

But you cannot assign that type of statistical approach to financial markets because they're not rational, right?

Financial markets can go widely one way, widely another way for no explainable rational reason at all.

A fact tail is something where you get a massive drawdown, negative event, like a 1987 where huge, largest one-day crash in history, 1929 crash,